5th floor, lodha excel us, - india international exchange...5th floor, lodha excel us, apollo mills...
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B S R & Co. LLP Chartered Accountants
5th Floor, Lodha Excel us, Apollo Mills Compound N. M. Joshi Marg, Mahalaxmi Mumbai • 400 011 India
Telephone +91 (22) 4345 5300 Fax +91 {22) 4345 5399
Limited review report on the unaudited quarterly standalone financial results and standalone year-to-date financial results of YES Bank Limited pursuant to Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015
To the Board of Directors of YES Bank Limited
l. We have reviewed the accompanying Statement of Unaudited Standalone Financial Results of YES Bank Limited (the 'Bank') for the quarter ended 30 September 2018 and year to date results for the period from I April 2018 to 30 September 2018 (the 'Statement'), attached herewith, being submitted by the Bank pursuant to the requirement of Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (the 'SEBI Regulations'). The disclosures relating to "Pillar 3 under Basel III Capital Regulations" and those relating to "Leverage Ratio", "Liquidity Coverage Ratio" under Capital Adequacy and Liquidity Standards issued by Reserve Bank of India ('RBI') have been disclosed on the Bank's website and in respect of which a link has been provided in the Statement and have not been reviewed by us.
2. This Statement is the responsibility of the Bank's management and has been approved by the Board of Directors of the Bank in their meeting held on 25 October 2018. Our responsibility is to issue a report on the Statement based on our review.
3. We conducted our review in accordance with the Standard on Review Engagement (SRE) 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity specified under section 143(1 0) of the Companies Act, 2013. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the financial results are free of material misstatement. A review is limited primarily to inquiries of Bank personnel and analytical procedures applied to financial data and thus provides less assurance than an audit. We have not performed an audit and accordingly, we do not express an audit opinion.
9 S R & Co Ia partner$hll)llrm with Registration No. 8A61223) convMed Into B S R & Co. llP Ia Limited LiabilitY, Pertne,..hlp with LLP Registration No. AAB-8181) ... ~il ... ... u,.,.. ~ ........... n ... , ......... 1A ~n4"»
Reglstared Offlce: 5\h Floor, Lodhe E~celva Apollo Mills Compound N. M. Joshi Merg, MehelalQ'Tll ,.,..,.....,...,,.., _ "'~"~""'' ,.,.,oft
B S R & Co. LLP
Limited review report on the unaudited quarterly standalone financial results and standalone year-to-date financial results of YES Bank Limited pursuant to Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (Continued)
4. Based on our review conducted as mentioned above, nothing has come to our attention that causes us to believe that the accompany ing Statement prepared in accordance with applicable accounting standards specified under Section 133 of the Companies Act 2013, read with Rule 7 of the Companies (Accounts) Rules, 2014 and other recognized accounting practices and policies, has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI Regulations, including the manner in which it is to be disclosed, or that it contains any material misstatement or that it has not been prepared in accordance with the relevant prudential norms issued by the RBI in respect of income recognit ion, asset classification, provisioning and other related matters.
Mumbai 25 October 2018
ForB S R & Co. LLP Chartered Accountants
Firm's Registration No: 1 01248W/W-l 00022
M~K v··· anOJ umar •Jai Partner
Membership No: 046882
YES BANK Limited J<cgd. Oflicc : Nehru Centre, 9th Floor, Oisc-ovcJ-y ollndia Building, Dr /\. B. Ro~d. Worli, Mum b;1 i - 400 011!, lndi<t .
Website: www.yesbank.in
UN AUDITED FINANCIAL RESULTS FOfi THE QUARTER AND I JA lF YEAR ENDED SEPTEMBER 30, 2018
(~ in Lakh.~)
FOR THE FOR THE FOR THE FOR THE FOR THE FOR THE
Sr. QUARTER QUARTER QUARTER IIALFYEAR HALf' YEAR YEAR ENDED
PARTICULARS ENDED ENDED ENDED ENDED ENDED 31.03.18 No.
30.09.18 30.06.18 30.09.17 30.09.16 30.09.17
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Audited) 1 lnler~st eamcd lo)+(b)+(c)+ld l 723,123 657.804 480,034 1,380.927 945.414 2,026,742
(.1) lniCT(>St/ d~;ount on adv.,nce.~jbill~ 554,959 500,466 369,320 1,055,425 722,768 1,517,821
(b) Income on inv(>stments 156,Hl?t 135,086 92,267 291,189 182,539 410.253 --~
(c) Interest on balances wilh Reserve Bank of India and oth"r inter-bank funds
5,822 16,20:> 14,466 22,025 32,402 51,60/ '
(d) Others 6,23'J 6.049 3,981 12.2811 7,705 17,051!
2 Other Income jRefer Note 5) 147,345 169,414 124.844 316,759 238,060 522,3S3
3 TOTAL INCOME (1 +2) 870,46!1 827,218 604,878 1,697,686 1,183,474 2,549,125
4 In teres! E~ pend cd 461,36!1 435~890 291,525 917,25B 5'76,012 1 ,253,036
5 Operating F.xpenses (i )+(i i) 152,456 145,857 122,686 2,8,313 246,375 52J,27&
(i) Payment!; to and provi.•imt£ lor employee.\ 59,397 59,062 56,276 118,459 110,887 218,89.2'
(ii) O ther operMing "xpcnses 93,059 86,795 66,410 179,854 135,488 302,386 ·-6 Total EJCpendlturc (4+5) (excluding provisions 633,824 581,74? 414,211 1,215,571 822,387 1,774,314
and co_ntingencies} 7 Operating Profit (before Provisions and
Contingendes)(J-6) 236,&44 245,471 190,667 482,115 361,087 774,811
8 .Provisions (other than Tax expen<e) and Contingencies (n"t) 93,998 62,565 44.701'> 156,563 73.284 155,380
9 ExccptionaiJtems - - - - -10 Prom from ordinary ~ctivities bdore tax (7·8·9)
142,646 182,906 145,961 325,552 287,803 619,431
11 7:7'-----· 46,176 51'>,870 45,688 103,046 90,978 196,975 Tax E'Jipcru;c
f-"-...1. .. Net profit from Ordinary AcHvities after tax (l 0-12
96,470 126,036 100,273 222,506 196,825 422,456 Ul
13 ExtraOL'dinary ltems (Net of lax) - - -14 NET PROFIT (12-13) 96,470 126,036 100,273 222,506 196,825 422,456 15 Paid-up equity Share Capi!al (Face value of ~ 2
each) 46,186 46,114 45,1!14 46,186 45,814 46,059
16 Reserves & Surplus excluding reva luation reserves 2,529,769
--17 Ana I y tic~! ratios : (i) Percent~ge of Shares held by Government of
Nil Nil Nil Nil Nil Nil India
(ii} Capital Adequacy ratio - Basel III 11'>.2 % 16.9% 17.0% 16.2 % 17.0% 18.4%
(iii) Earning per share for U1e period / year (before pnd after exb'aordinary irems)
-'Basic ~ 4.18 5.47 4.38 9.65 8.61 11!.43
- Diluted ~ 4 .06 5 .39 4 .29 9.50 8.11 18.06
Not Not Not Not Not A"nualizcd
Annualized Annualized Annualized Annualized Annualized (iv) NPA ratio~- --(.1) Gross NPA 386,608 282.4'!6 272,034 ~~608 272,034. 262,680
O,l NetNPA 201,967 126,257 154,326 201,967 154,326 131,275·
(c) ·x, of Gross NP A 1.60% 1.31% 1.82% 1.60% 1.112% 1.28% ... ..__ (d) % of Net NPA 0.84% 0.59% 1.04% 0 .84% 1.04% 0.64%
(\•) Return on ~sscts (average) (annualized) 1.1 % 1.6% 1.7% 1.3% 1.7% 1.6%
SUMMARISED BALANCE SHEET
(~ in Lnkhs) -At At At
PARTICULARS 30.09.18 30.09.17 31.03.18 (Unaudited) (Unao di!ed) (Audited) -
--CAPITAL AND LIABILITIES
Capital 46,181> 45,814 46.059
Reserves and surplus 2,686,915 2,295,604 2,529,769
Dcposil• 22,283,794 15,798,982 20,073,815
Bonowin~s 10,165,951 4,41!~,?.~6 7,489,358
'?t her lia hili ties a ncl provisions 1,9~1,R69 1,116,012 1,105,559 Total 37,164,715 23,739,408 31,244,560
ASSETS ··---Cash and balances with Reserve 13~nk of India 1,119,047 763,628 1,142,575 Balances with banks and money at call and sl1ort
523,973 1,351,359 notice 1,330,862
Invcshnents 9,032,022 5,390,776 6,839,894
Advances 23,962,747 14,867,528 20,353,386
Fi..lced assets 80,~06 72.,663 83,239
Other assets 2,446,321 1,293,454 1.494,604 Total 37,164,715 23,739,408 31,244,560
Notes: 1. The Lmauditcd financial resul t5 have been taken nn record by the Bo~rd of Dir<..>ctors of the Bank at it:s meeting held in Mum bai today. TI1e results hav(.'
been subject to " Limited Review" by the Statutory Auditors of the Bank. Tilcrc are no qualifications in the auditor's review report for the quarter and half year ended September 30, 2018.
2 During the quarter and half year cnd~Ll September 30, 201R, the Bank allotted 3,564,750 .1hares and 6,~10.600 shares respectively, pursuant to the excrcbe of stock options by employees.
3 During tlle quarter and half year ended September 30, 2018, the Bank ha5 raised ~ 304,200 Lakhs of Basel III Compliant Tier II Bonds.
4 As at September 30, 2018, t11c total capital infused and out-;tanding is ~ 5,000 lakhs in Yes Sccwitics (India) Limited, ~ 7,450 Lakhs in YES Asset Manag~ment (India) limited and ~50 Lakh., in Yes TrustL'C Limited. All three are wholly ov.'tled subsidiary companies of the Bank,
S Other income includes fees and commission eame•l from guarantees/letters ol credi t, loans, financial advisory fees, selling nf third party produ~L~,
earnings frolll foreign exchange transactions and profit/loss from sale ol securities.
6 'Re turn on assets is computed using a simple average of total ass~ts at Lhe ber,inning and at the cncl (If the l'elevant pe1iod.
7 The disclosures for NP A rell'rrcd to in point 17(iv) abov<> correspond toN on Pcrfom1ing Advance.•.
8 In ,;ccordance ·with RBI circular DBR.No.BP BC.l /21.06.201 / 2015-16 dated July 1, 2015 on 'llascllll Capital Regulations' read together with RBJ circular DBR.No.BP.BCS0/21.06.201/2011-15 dated March 31, 2015 on 'Prudential Guidelines on Capital Adequacy and Liquidity Standards- Amendment~·
requires bank.• to m.ute applicable Pillar 3 disclosures including leverage ratio and liquidity coverage ratio under Basel III Framework. The Pillar Ill di.o;dosures have not been subjected to review by the statutory auditors. The Bank has made the~e disclosures which are available on il• website at the following link. https:/ jwv .. '"\\' .yesbanl<.in/ pdf/baseliii_d isclosure_sep_30_2018.pdl
9 In view of the continuing rise in the yields on Government Securities, RBI vide its circular DBR.No.BP.BC.113/2l.04.04B/2017-18 dated June IS, 2018 has granted b"nh the optio n to sprca d provisioning for their net mark to market (M!M) losses on all inveslment.s held in AFS and HFT for lhe quarter ended June 30,2018. As per the RBI circular. thE' provisioning cost for the , u.art r ended june 30, 20)8, may He spread equally over up lo !out quarters, commencing v..~lh the quarter ~ndcd June 30, 2018. Con.•equently, the. Brriik~·iti":imo tlze ~ 18,689.92 LakM over the subsequent quarters till U1c yeas· ending March 31, 2019.
10 In accordance w:ilh the disclo~ure requiremcnr>; of Schedule IV, ofSerurities and Exchange Board of India (Usting Obligations and Disclosure Rcquircmenls) Regulations 2015, there was a material event with respect to a borrower from infrastructu~ d~elopmenl and finance s~tor, to whom the Bank has an exposure of ~ 262,069 u.khs to its subsidiaries & SPV (Nil to the Parent/ NBI'C/ Financial Service entity) as at Septe1nber 30, 2018. ThesP acc0\111ts has been dassifil'd as Standard assets in accorda.nce with the RBI Master Grcular- Prudential norms on Income Recognition, AS.5ets Oassification and provisioning pertaining to Advances (the Mii-Srer circular). The Bank's management will take appropriate action in accordance wlth applicable RBI regulation~, as more information to any potential resolution plan bcc()IJles available.
11 During llle quarter, the Bank received comm1.111ication on its operation~ mcluding through -tlle stock exchanges. Tile Bank has responded to !he communication re<:civcd from the stock exd1anges which has been disdoseu by the exchanges. TI1c Bank has also inter alia received communication from RBI approving the tenure of its current MDiicCEO till January 31, 2019 and for appointing a successor by February 01, 2019. The Board of Directors h~s initiated steps to cfft'Ctively address the above including lhose communicated vide Pres~ Releases dated September 25,2018 and October 05,2018.
12 As the business of the Bank i1 concenb"ated in India; the segment disclosures made pertain to dome~>tic segment.
13 TI1e Bank has followed tile same significant accounting policies in the preparation of these financial results as those followed in the annual financial statement for the year ended March 31, 2018.
14 Previous period figures have been regrouped /reclassified wherever necessary to conform to current period daMificalion.
SEGMENTAL RESULTS ('Z in 1 11'11') ·~ · \ ~
I'ORTHE FOR THE FOR THE !'OR THE FOR THE POR THE QUARTER QUARTER QUARTER HAlF YEAR HALF YEAR YEAR ENDED
Sr PARTICUlARS ENDED ENDED ENDED ENDED ENDED 31.03.18
No 30.09.18 :!0.06,18 30.09.17 30.09.18 30.09.1? ·--
(Unaudited) (Un~uditcd) (Un~udited) (Unillldited) (Un~udi!ed) (Audited)
1 Segment revenue (u) Treasury 25S,685 235,447 160,439 49·1,B2 322,529 659,270 -(h) Corporate Bankin~ 572,10B 5·11),826 391,423 1,118,934 758,097 1,663,588
(c) Retail Banking 109,590 93,854 66,577 203,444 130,081 2.97,282
(d) Ot11er Banking Operations -4,451 4,576 4,021 9,027 8,132 19,541
(e) Unallocated 111 (2) (65) 14 {52) (115)·
TOTAL 944,850 680,701 622,395 1,825,551 1,218,787 2,639,566 ---·
Add I (Less): Inter Scgm<~nt Revenue (74,382) (53,483) (17,517) (127,865) (35,313-l (90,441)
Income from Operations 870,468 827,218 604,878 1,697,686 1,183,474 2,549,125
2 Segmental Results (a) Treasurv 63,391 88,787 77,u3S 152,178 167,005 294,610 ________ ,, (b) Corporate Bankin!'; ____ 141,644 1511,1160 114,053 300,504 224,501 547,480
(c) Retail flanking (10,126) (8,315) (15,979) (1R,441) (38,981) (59,076)
(d) Otl1er Banking Operations 1,711 2,061 1,804 3,772 4,302 11,082 (e) 'Unallocated (53,974) (58,487) - (30,952 (112,161) (69,024) (174,665)
Profit before Ta.x 142,646 182,906 145,961 325,552 287,903 619,431 ·---~
3 s~gment Assets
(a) Treasury 12,424,084 11,080,785 8,274,681 12,424,084 8,274,681 10,221,286 -(b) Corporate Banki~g 20,312,85!! 18,312,106 - 12,685,648 2.0,312,858 12,685,H8 17,146,303
(c) Retail Banking 4,215,720 3,678,264 2,633,663 4,215,720 2,633,683 3,713,703
(d) Otllcr Banking Operations 1,584 3,921 2,470 1,584 2,470 3,300
(e) Unalloo:nted 210,469 179,853 142,926 210,469 142,926 159,968
Total 37,164,715 33,254,929 23,739,408 37,1&4,715 23,'739,408 31,244,560
4 Segment Liabilities (a) Treasury 11,551,853 8,520,441 4,798,07~ 11,551,853 4,798,078 7,510,753 ,.....,..,. (b) Corporate Banking 13,119,30& 13,027,496 9,623,642 13,119,306 9,62..\642 12,615,311
lcJ Retail Banking 8,702,8:27 8,036,848 6,524,583 8,702,827 6,524,583 7,508,505
(d) Oth~r Banking Operatioru 11,554 11,419 12,851! 11,551 12,858 47,246
{e) Unalloc~tcd 1,046,074 1,027,331 438,829 1,046,074 438,829 986,91 7
Capital and Reserves 2,733,101 2,631,394 2,341,418 2,733,101 2,341,418 2,575,828
'rota! 37,164,715 33,254,929 23,739,408 37,164,715 23,739,408 31,244,560
SEGMENT PRINCIPAL ACTIVITIES Includes inv~stments, all financial markets activities undertaken on behalf of the Bank's customer.;,
Treasury proprietary trading, maint~nance of reserve requirement; and rc5ourcc mobilisation from other IJanks nnd EiMncial institutions.
Corporate Banking rndudcs lcntling, deposit taking ami other services offered to corporate customers.
Retail Banking In dudes lending, deposit tilking and other services offered to retail customers.
Other Banking Operation> Includes para banking activities like third party product disbibution, merchant banking etc,
-
Place; Mumbai
Date; Odobcr 25, 2018
Page 1 of 9
Press Release – October 25, 2018
YES BANK announces Financial Results for the Quarter ended September 30, 2018
1. KEY HIGHLIGHTS for Q2FY19
Sustained Operating performance amidst external environmental challenges:
NII grew 28.2% y-o-y to ` 2,417.6 Crores; NIMs stable at 3.3%
Operating Profit grew 24.1% y-o-y to ` 2,366.4 Crores; Cost to Income ratio at 39.2% flat y-o-y
Net Profit declined 3.8% y-o-y to ` 964.7 Crores which includes impact of ` 252.2 Crores of one time
MTM provisioning, predominantly on Corporate Bonds. After excluding investment related MTM
provisions and Profit on Sale of investments Adjusted Net profit grew by 36.2% y-o-y
Stable Balance sheet growth with increasing granularity:
Advances grew by 61.2% y-o-y to ` 2,39,627.5 Crores with stable growth across segments
Retail Banking Advances grew 103.0% y-o-y to 14.3% of advances in comparison to 11.4% in Q2FY18
Total Deposits grew by 41.0% y-o-y to ` 2,22,837.9 Crores. CASA ratio at 33.8%
CASA + Retail FDs as a % of Total Deposits stands at a healthy 57.2% vs. 56.7% sequentially
RWA/ Total Assets improved to 81.3% from 81.6% on q-o-q basis and 84.3% on y-o-y basis
Total CRAR at 17.0% with Tier I ratio at 11.9% and CET I at 9.0%
Resilient Asset Quality:
GNPA at 1.60% and NNPA at 0.84%
Increase in GNPA from earlier disclosed provisional ratio for Q2FY19 (on October 01, 2018) due to
classification of one account with exposure of ` 631.2 Crores as NPA based on post period end review
process. Bank expects prepayments and consequent upgrade of this exposure in Q3FY19.
Credit costs at 18 bps for the Quarter and 34 bps for Half Year ended September 30, 2018
Comfortable liquidity position: Liquidity Coverage Ratio of 100.5% as on September 30, 2018 and daily
average Liquidity Coverage ratio of 99.4% for Q2FY19
Commenting on the results and financial performance, Mr. Rana Kapoor, Managing Director & CEO, YES
BANK said, “YES BANK has once again delivered satisfactory performance across balance sheet growth,
core profitability and asset quality amidst external environmental challenges. Advances growth has been
well segmented across Corporate, IBU, MSME and Retail Business. Moreover strong deposit growth with
rising proportion of granular deposits (CASA + Retail FDs) is testament to the leverage created across people,
branches and technology over the past few years. Inherent strength of the franchise has also been
corroborated by recent re-iteration of ratings by various international and domestic credit rating agencies.
As we look forward, I can proudly confirm that the Bank, is fully institutionalized as the Professionals Bank
of India, driven by a seasoned leadership of over 100+ top management professionals with significant
experience in the industry as well as vintage with YES Bank; and remains well on course to achieve its long
term vision of “Building the Finest Quality Large Bank of the World in India”.
Page 2 of 9
2. PROFIT & LOSS: Sustained Operating performance in volatile external environment
Net Interest Income grew by 28.2% y-o-y to ` 2,417.6 Crores with NIMs stable at 3.3%
Non-Interest Income grew by 18.0% y-o-y to ` 1,473.5 Crores with Core Non Interest Income growing
by 38.5% y-o-y
Cost to Income ratio stable at 39.2% on y-o-y basis
Operating Profit posted growth of 24.1% y-o-y to ` 2,366.4 Crores
Provisions at ` 940.0 Crores which includes:
` 409.2 Crores towards NPA provisioning; ` 9.7 Crores on account of NPI/ARC provision
` 344.9 Crores towards investment provisioning (excluding NPI/ ARC provision) of which ` 252.2
Crores of one time MTM provisioning, predominantly on Corporate Bonds, and ` 92.7 Crores of amortization of MTM provisions on Bonds allowed under the RBI dispensation
` 117.6 Crores of Standard Assets provisions
Net Profit declined 3.8% y-o-y to ` 964.7 Crores. After excluding impact of investment related MTM
provisions and Profit on Sale of investments, Adjusted Net profit growth at 36.2% y-o-y
Return ratios (annualized) for Q2FY19: RoA at 1.1%. RoE at 14.4%.
Book Value at ` 118.4 per share as on September 30, 2018
3. BALANCE SHEET: Robust Balance sheet growth with increasing granularity
Total Assets grew by 56.6% y-o-y to ` 3,71,647.2 Crores. IBU Assets grew by 155.3% y-o-y to US$ 3.7 Bn
Deposits grew by 41.0% y-o-y to ` 2,22,837.9 Crores
CASA ratio at 33.8%, on the back of 28.2% y-o-y growth. SA (` 49,338.5 Crores) and CA (` 25,940.7
Crores) deposits posted strong growth of 26.5% and 31.6% y-o-y respectively
CASA + Retail FDs as a % of Total Deposits rose to 57.2% from 56.7% last quarter
Advances grew by 61.2% y-o-y to ̀ 2,39,627.5 Crores on the back of robust growth across Corporate, IBU,
MSME and Retail businesses. Retail Banking Advances grew by 103.0% y-o-y to 14.3% of Advances (up
from 11.4% as on September 30, 2017). Segmental mix below:
Business Segment As on
Sep 30, 2018
As on Sep 30, 2017
Growth (y-o-y)
As on Jun 30, 2018
Growth (q-o-q)
A) Corporate Banking* 68.2% 65.4% 63.0% 67.6% 12.6%
of which IBU Advances 8.7% 5.4% 161.6% 8.8% 10.4%
B) Retail & Business Banking* 31.8% 32.6% 57.4% 32.4% 9.5%
of which:
i) Medium Enterprises 8.3% 9.9% 34.3% 8.7% 5.8%
ii) Small and Micro Enterprises 9.2% 11.3% 31.6% 9.7% 6.2%
iii) Retail Banking 14.3% 11.4% 103.0% 14.0% 14.0%
Total 100.0% 100.0% 61.2% 100.0% 11.6%
*` 823.8 Crores (0.3% of advances) re-classified into Corporate Banking as of September 30, 2018
Total Capital Adequacy at 17.0% with Total Capital Funds at ` 51,292.3 Crores. Tier I Ratio and CET I
ratio healthy at 11.9% and 9.0% respectively (including profits)
Risk Weighted Assets stood at ` 3,02,172.6 Crores. RWA/ Total Assets at 81.3% (from 84.3% as on
September 30, 2017 and 81.6% as on June 30, 2018) given incremental lending to higher rated Corporates
Page 3 of 9
4. ASSET QUALITY: Resilient performance
(A) Details of Asset Quality Parameters:
S.
No Particulars (%) Q2FY19 Q2FY18 Q1FY19 Remarks
1 Credit Cost (bps) 18 29 15
2.1 GNPA 1.60%
(` 3,866.1 Crores) 1.82% 1.31%
Gross Slippage of `1,631.6 Cr which includes:
1. An account with exposure of ` 631.2 Crores
classified as NPA based on post period end
review process. Bank expects prepayments and
consequent upgrade in this account in Q3FY19.
2. An account with exposure of ` 445.8 Crores was
sold to an ARC during Q2FY19
2.2 NNPA 0.84%
(` 2,019.7 Crores) 1.04% 0.59%
2.3 PCR 47.8% 43.3% 55.3% Bank to maintain PCR in >60% by March 2019
3 Net Security
Receipts
0.85%
(` 2,048.9 Crores) 0.94% 0.82%
One account was sold to ARC during the quarter,
with a gross exposure of ` 445.8 Crores and Net SR
carrying value of ` 287.8 Crores
4 Std. Restructured
Exposure
0.08%
(` 204.5 Crores) 0.56% 0.12%
Breakup of 0.08% (` 204.5 Cr) - Erstwhile fully
implemented; S4A (` 105.2 Crores – 2 accounts); 5-
25 (` 94.6 Crores – 2 accounts); SDR (Nil) and Other
Restructure book (` 4.7 Crores – 2 accounts)
TOTAL (2.2 + 3 + 4) 1.77%
(` 4,273.1 Crores) 2.53% 1.52%
(B) Additional Asset Quality disclosures:
1. Re-iteration of minimal impact from exposure to accounts in NCLT List 1 (0.01% of Gross Advances)
and List 2 (0.27% of Gross Advances) and from RBI circular dated Feb 12, 2018
2. SMA 2 outstanding exposures (accounts > ` 5 Crores and as per RBI CRILC reporting) as on September
30, 2018 at 0.15% of Gross Advances
3. Total exposure to
a. HFCs at 3.2% of which ~96% externally rated AA or better
b. NBFCs at 2.6% of which ~90% externally rated A or better
c. Commercial Real Estate at 5.7% of which Nil are SMA 2
4. There were material events with respect to an Infrastructure and Financial Services Conglomerate.
In relation to this the Bank has:
a) Gross outstanding exposure of ` 2,620.7 Crores which is entirely “Standard” as of September 30, 2018 as per RBI’s Income Recognition And Classification (IRAC) norms
b) Nil exposure to the Parent/ NBFC/ Financial Services entity of the Group
c) Exposures to asset rich subsidiaries/ SPVs with Enterprise value commensurate with debt level
5. >90% of the Top 20 individual borrower exposures by value are Externally Rated A or better
6. The Bank is yet to receive the FY18 Risk Based Supervision report from the RBI
Page 4 of 9
3. SENSITIVE SECTOR DISCLOSURE
Sector/ Rating* % of Total Exposure as
on Sept 30, 2018 % of Total Exposure as
on June 30, 2018
(A.1) Non Renewable Electricity Generation (All operational)
1.9% 2.5%
(A.2) Exposure to SEBs Nil Nil
(B) Iron & Steel 2.9% 2.6%
A or above rated 2.2% 2.0%
(C) Telecom 3.0% 3.6%
A and above rated 2.8% 3.3%
(D) Gems & Jewellery 1.5% 1.4%
A and above rated 1.0% 1.0%
*Based on Internal Corporate ratings models mapped to external ratings
Overall Corporate portfolio continues to be well rated with close to 80% of the portfolio rated ‘A’ or better
(Based on Internal Corporate rating models mapped to external ratings).
Overall portfolio is well distributed with significant deployment in YES BANK focused knowledge sectors where the Bank has developed considerable sectoral expertise with specialized Relationship, Product and Risk Managers (3 Eye Relationship and Risk Management organizational framework)
Page 5 of 9
4. DIGITAL BANKING: Leading innovator in the Payments’ landscape
YES Bank continues to retain its pole position in the new age payments space
UPI: Market share of 40% in UPI Merchant Payments volumes. Processed more than 29 Crore
transactions amounting to ~` 47,000 Crores in Q2FY19. Total registrations crossed 8 Crores with
merchant partner base in excess of 3 lakhs
IMPS: Top Remitter Bank within peer group based on transaction volumes as per NPCI. Volumes
witnessed 84% growth y-o-y
AePS: One of the Leading acquirer bank of AEPS. Successfully processed ~3.5 Crore transactions,
this quarter. 169,000+ Business Correspondent agents enabled for delivering service
Driving relationships with superior offerings
YES Mobile: Registrations grew 2x y-o-y. Transaction value & volumes grew by ~2.5x and ~2x y-o-y
respectively. Monthly transaction volume on the platform crossed 1 Mn during the quarter
Debit Cards: In Q2FY19 total Debit Card transactions grew 48% YoY to reach 84 lakh. Total spends
grew 56% YoY to reach ` 1,213 Crores for the quarter.
Yes ROBOT - Personal Banking Assistant: Offers Credit Card Management services a first of its
kind industry initiative. Supports over 65 retail liabilities and asset products
Leading innovation with customized offerings:
Naval Office Institute Goa, Tap & Go’ card – India’s first completely Cashless Defense Campus
powered by YES Bank’s payment solutions
MSEDCL (Maharashtra State Electricity Distribution Company Limited), Expense Management
Solution - Digitized employee pay outs across 206 Field Offices
Working towards a smarter and more digitally empowered India:
Implemented Udaipur Smart City Card cum Wallet Solution which enabled over 100 merchants to
accept digital payments on BHIM interface
Launched BHAMASHAH Wallet with DoITC (Dept. of IT & Communication)- Govt. of Rajasthan
as a co-branded arrangement to digitize their G2C payments
Partnered with CHiPS (Chhattisgarh Infotech Promotion Society) to onboard over 11,000+ Citizen
Service Centers (CSC) as BC agents to promote digital payments across the state and augment their
income generation
Page 6 of 9
5. EXPANSION & KNOWLEDGE INITIATIVES
Employee strength as on September 30, 2018 stood at 21,024, an increase of 1,427 employees in the
quarter
As on September 30, 2018, branch network stood at 1,110 branches and ATM Network stood at 1,781
which includes 567 Bunch Note Acceptors/Cash Recyclers
YES Bank’s credit rating was reaffirmed by leading Credit rating agencies in September, 2018:
On September 20, 2018, International ratings agency Moody’s has reaffirmed its long term
rating of Baa3 (stable outlook); and
On September 21, 2018, Domestic rating agency ICRA has reaffirmed Domestic rating of AA+
(stable outlook)
The brand value of YES BANK continues to be a key strength for the bank. The YES BANK brand was
recently recognized as the 22nd Most Valuable Indian Brand by WPP BrandZ Report 2018 with a brand
value of $ 2.62 Billion.
Yes Bank successfully raised Non-Convertible, Redeemable, Unsecured, BASEL III compliant Tier 2
Bonds worth ` 3,042 Crores during the quarter which have aided in raising Bank’s Capital Adequacy
ratio. These bonds have received credit ratings of CARE AAA from CARE Ratings and IND AA+ from
India Ratings & Research (Ind- Ra) with stable outlook.
During the quarter, Yes Bank, successfully closed a competitively priced USD 400 million syndicated
loan facility, borrowed out of the Bank’s IFSC Banking Unit (IBU) in Gujarat International Finance Tec
City (GIFT) for supporting the IBU’s growing business.
Yes Bank became the 1st Indian Bank to join ‘Natural Capital Coalition’ - a global multi-stakeholder
collaboration. As a part of this initiative:
The Bank organized 1st ever carbon neutral ‘Natural Capital Awards’ in partnership
with Ministry of Environment, Forest & Climate Change; Ministry for Development of North
Eastern Region and National Mission for Clean Ganga. Country Partners for the Awards
included France, Spain, Netherlands, Switzerland, while Arunachal Pradesh, Assam, Telangana,
Sikkim were State Partners
Yes Bank knowledge report titled ‘Innovating Pathways to Sustainable Finance in India’ outlining
the need for institutionalizing a green finance architecture in India, was also released at the event.
As a run up to Natural Capital Awards, YES BANK together with UN organized a roundtable
on Mobilizing Sustainable Finance in India, at the UN Headquarters in New Delhi. Chaired by
Head of UN India, Yuri Afanasiev, the roundtable was attended by DFIs, Investors, Government
and stock exchanges, amongst several other industry leaders.
Page 7 of 9
Yes Bank signed a Memorandum of Understanding (MoU) with the Maharashtra State Innovation
Society (MSInS), a nodal agency of the Government of Maharashtra responsible for implementing the
Maharashtra Start-up Policy. Through this partnership, YES BANK will extend banking services to
start-ups at the Maharashtra Startup Week, through YES: Head-STARTUP program, the Bank’s
comprehensive banking solution for tech and tech-enabled Start-ups.
Yes Bank announced partnership with 10 leading smart cities in India to launch an industry-first
‘Collaboration-as-a –Service’ platform to address urban development challenges. As a part of its newly
launched YES SCALE Smart City Accelerator, the Bank is inviting startups from around the world to
collaborate with technology leaders like Bosch and Dell EMC and work on problem statements
provided by respective Smart cities viz. Gurugram, Chandigarh, Rajkot, Surat, Vadodara,
Aurangabad, Nasik, Warangal, Karim Nagar and Puducherry.
6. AWARDS & RECOGNITIONS YES BANK was recognized and bestowed awards at multiple platforms for its Digital & Sustainability
practices:
Global winner in Payments at the ‘Technology Project Awards-2018’, a prestigious award
recognizing innovation in financial technology instituted by The Banker, a London-based leading
global financial publication promoted by The Financial Times (FT)
Has the highest number of its facilities under environment management system ISO 14001:2015
certification ambit in the BFSI Sector, leading the BFSI sector globally with the highest number of ISO
14001 certified green facilities. This extraordinary global achievement by an Indian bank comes on
the back of YES BANK’s unmatched commitment to environmental sustainability
YES BANK becomes the only Indian bank to be selected in the Dow Jones Sustainability Indices
(DJSI) Emerging Markets for the 4th year in a row (2015-2018)
o ~3,500 companies invited, YBL selected among 50 banks (from 267 banks)
o Out of the 13 invited Indian banks, YBL is the only Indian Bank to make it to the index
o 93 companies from 14 countries included in the DJSI Emerging Markets Index (EMI)
o The 2018 Index has become effective as of September 24, 2018
Page 8 of 9
YES BANK selected in FTSE4Good Emerging Index, for the second consecutive year
o FTSE Russell benchmarks ~USD 12.5 Trillion in assets across 80 countries and 98% of the
investable global market
o YBL received an ESG Rating which is above the required index inclusion threshold for emerging
economies (2.2); and developed markets (3.5) reiterating YBL’s ESG leadership with its global
peers [The score is confidential, hence not included]
o YBL selected among 87 banks from emerging markets including Itau Unibanco Holdings, Brazil
& SBERBANK, Russia
Accolades for Small & Medium Enterprises Financing:
YES BANK awarded “SME Bank of the Year – India” in the Asian Banking & Finance Retail
Banking Awards, Singapore in July 2018
Mr Rana Kapoor, MD & CEO, conferred with ‘Sustainability Leader of the Year 2018’
The award was presented at 8th Global Sustainable Finance Conference (GSFC) in Karlsruhe,
Germany by European Organisation for Sustainable Development (EOSD)
Mr Kapoor was one of the two global leaders awarded for visionary leadership & YES BANK was
the only Indian Bank to be felicitated with this global recognition
The Chief Guest at the awards was Matia Kasaija, Honourable Minister of Finance, Planning and
Economic Development, Republic of Uganda and Dr. Frank Mentrup, Lord Mayor of Karlsruhe and
Chairman of the Board of Sparkasse (German Savings Bank)
YES Bank’s analyst conference call, scheduled on Oct 25, 2018 at 6:00 pm, can be heard at following link, post 10 pm:
https://www.yesbank.in/about-us/investors-relation/financial-information/financialresults
ABOUT YES BANK
YES BANK, India’s fourth largest private sector Bank, is the outcome of the professional & entrepreneurial commitment of its
Founder Rana Kapoor and his top management team, to establish a high quality, customer centric, service driven, private Indian
Bank catering to the Future Businesses of India. YES BANK has adopted international best practices, the highest standards of service
quality and operational excellence, and offers comprehensive banking and financial solutions to all its valued customers.
Krunal Mehta YES BANK Ph.: + 91 22 3347 9758, Cell : +91 +919867163634
Email:[email protected]
Jyothi Goswami
Adfactors PR Ph.: +91 97024 88388 Email: [email protected]
Page 9 of 9
Annexure
Financial Highlights from Q2FY19 Results:
P & L Highlights
(` in Crores) Q2FY19 Q2FY18 Growth %
(y-o-y) Q1FY19
Growth %
(q-o-q)
Net Interest Income 2,417.6 1,885.1 28.2% 2,219.1 8.9%
Non Interest Income 1,473.5 1,248.4 18.0% 1,694.1 -13.0%
Total Net Income 3,891.0 3,133.5 24.2% 3,913.3 -0.6%
Operating Profit 2,366.4 1,906.7 24.1% 2,454.7 -3.6%
Provision 940.0 447.1 110.3% 625.7 50.2%
Profit after Tax 964.7 1,002.7 -3.8% 1,260.4 -23.5%
Basic EPS (`) 4.2 4.4 -4.6% 5.5 -23.5%
Key P & L Ratios
Q2FY19 Q2FY18
Q1FY19
Return on Assets# 1.1% 1.7% 1.6%
Return on Equity# 14.4% 17.5% 19.4%
NIM 3.3% 3.7% 3.3%
Cost to Income Ratio 39.2% 39.2% 37.3%
Non Interest Income to Total Income
37.9% 39.8% 43.3%
Balance Sheet Highlights
(` in Crore ) 30-Sep-18 30-Sep-17 Growth %
(y-o-y) 30-Jun-18
Growth % (q-o-q)
Advances 239,627.5 148,675.3 61.2% 214,720.1 11.6%
Deposits 222,837.9 157,989.8 41.0% 213,394.5 4.4%
CASA 75,279.1 58,724.6 28.2% 74,930.0 0.5%
Shareholders’ funds 27,331.0 23,414.2 16.7% 26,313.9 3.9%
Total Capital Funds 51,292.3** 35,690.3 43.7% 46,983.7 9.2%
Total Balance Sheet 371,647.2 237,394.1 56.6% 332,549.3 11.8%
Key Balance Sheet Ratios
Capital Adequacy 17.0%** 17.8%
17.3%
CET I Ratio 9.0%** 11.5% 9.5%
Tier I Ratio 11.9%** 13.2% 12.8%
Book Value (`) 118.4 102.2 114.1
Gross NPA 1.60% 1.82% 1.31%
Net NPA 0.84% 1.04% 0.59%
Provision Coverage Ratio 47.8% 43.3% 55.3%
Credit Costs (in bps) 18 29 15
Restructured Exposure%* 0.08% (Rs. 204.5 Cr) 0.56% 0.12%
Security Receipts (Net)% 0.85% (Rs. 2,048.9 Cr) 0.94% 0.82%
CASA Ratio 33.8% 37.2% 35.1%
Daily Average LCR 99.4% 90.6% 101.0%
# Annualized * Includes erstwhile Standard S4A, 5-25 and SDR exposures
** including profits
INVESTOR PRESENTATION
Q2FY19 Update
2
Key Highlights for Q2FY19
Resilient Asset Quality Delivery
Robust Growth of 61.2% in Advances with increasing Granularity
Stable Operating metrices: PAT declined due to one time MTM provisioning
Operating Profit24.1% y-o-y
NII: 28.2% y-o-y & 8.9% q-o-q
NIMs stable at 3.3%
36.2% y-o-yGrowth in Adjusted PAT*
-3.8% y-o-y decline in PAT
103.0% y-o-yGrowth in Retail Advances14.3% of Total Advances vs. 11.4% in Q2FY18
32.9% y-o-yGrowth in MSME AdvancesStrong Momentum continues
63.0% y-o-yGrowth in Corporate AdvancesIncremental growth to well rated corporates
1.77%Total Stressed Book*
1.60% GNPA
SMA 2 accounts at only 0.15% of Gross Advances
*NNPA + Security Receipts + Std Restructured
Well Diversified Liability Franchise
Deposits growth 41% y-o-y CASA growth 28.2% y-o-yCASA ratio of 33.8%
Retail Term Deposits growth 34.6% y-o-y &
13.3% q-o-q
*Adjusted PAT excludes investment related MTM provisions and Profit on Sale of Investments
Credit Costs 18bps for
Q2FY19 & 34 bps for H1FY19
3
Growth
•Bank’s inherent franchise and strong execution framework can deliver growth 2-3X of Industry
•Continue to acquire new better rated Corporate customers.
•Continue to invest in the Retail and MSME franchises
Capital
•Calibrate net growth in advances / exposures to ensure adequate CET1 levels
• Improving RWA density with RWA / Total Assets at 81.3%
•Increase momentum of sell-downs / syndication to ensure better capital efficiency
• Top Mandated Lead Arranger as per Bloomberg
Asset Quality
•Remain focused on prudent risk management on businesses with proactive mitigation
•Bank to maintain PCR greater than 60% by March 2019
Execution Strategy & Enablers
� Experience Top Management team: The Bank is fully institutionalized as Professional Bank of India, overthe past 14+ years driven by seasoned leadership of over 100+ Top Management professionals with over2 decades of experience and average vintage of over 8 years with Yes Bank
� Proven track record of enduring endogenous and exogenous stresses over the last 10 years.
� Superior execution platform in place across various businesses / segments with embedded sectoral /segmental knowledge skills.
Execution Strategy
Enablers
4
Succession Planning
� The Bank and its MD&CEO continue to be fully guided by its Board of Directors, the Reserve Bankof India & other relevant stakeholders and remain committed to protect the interest of all itsstakeholders
� ‘Search & Selection Committee” formed on September 25, 2018 comprises of three NominationRemuneration Committee (NRC) members & two external experts
� Two external experts: (Selected on October 5, 2018)
- Mr. T S Vijayan, Ex - Chairman of IRDA and LIC
- Mr. O P Bhatt, Ex - CMD, State Bank of India
� Three Internal Members:
- Mr. Brahm Dutt, Chairman- Nomination & Remuneration Committee (NRC)
- Lt. General Dr. Mukesh Sabharwal (Retd.), Member NRC
- Mr. Subhash Chander Kalia, Member NRC
� This Committee has mandated Korn Ferry, a global leadership advisory firm on October 11, 2018to assist the committee in evaluating candidates (both internal & external) as a suitable successor toMr. Rana Kapoor
� Further, to ensure a long term succession plan, the Board has appointed Mr. Rajat Monga & Mr.Pralay Mondal as Executive Directors (Application has been submitted to RBI, awaiting RBI response)
� Seasoned top management team possessing vast industry experience & vintage with YES Bank iswell poised to successfully fulfil the Bank’s strategy and vision
5
QUARTERLY HIGHLIGHTS
6
19 20 21
25 24
10 11 12 13 10
9 10
12 12 12
-
5
10
15
20
25
30
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
Operating Profit Net Profit Adjusted Profit
19 19 22 22
24
12 14 14
17 15
-
5
10
15
20
25
30
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
Net Interest Income Non Interest Income
Income Growth Trends
Robust Earnings Delivery
� Strong growth in NII of 28.2% for Q2FY19, driven bygrowth in Advances of 61.2% y-o-y
� NIMs continue to be stable at 3.3%
� Non-Interest income growth of 18.0% for Q2FY19
� PAT declined by 3.8% y-o-y on account of one timeMTM provisioning
� Excluding one time MTM provisioning & profit on saleof investments, the Adjusted PAT grew by 36.2% y-o-y
Consistent & Healthy growth in Operating as well as Adjusted profits
` Billion
` Billion
10.2% 9.8% 9.9% 10.0% 10.1%
6.1% 6.0% 6.0% 6.3% 6.4%
3.7%3.5% 3.4%
3.3% 3.3%
2.0%
3.0%
4.0%
5.0%
6.0%
0.0%
4.0%
8.0%
12.0%
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
Yield on Advances Cost of Funds NIM (RHS)
7
Non Interest Income Trends`
million
Steady growth in Retail fees on the back of rapidly expanding retail franchise
Steady growth across Transactional Corporate, Trade, CMS and Retail Fees
`m
illion
Retail Banking Fees - Granular Growth
977 1015 1291 1154 1,402
636 771659 689
713 298 272538
232244 490 470
550693
742 318 372
434561
512
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
Trade & Remittance Facility/Processing Fee Third Party Sales Interchange/ Direct Banking Income General Banking Fees
2,718 2,900 3,472 3,329 3,613 1,439 1,536
2,398 2,162 2,116
4,768 7,231
6,441 6,827
2,220
3,518
2,428 1,781 4,603
6,677
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
Retail Banking Fees Corporate Trade & cash Management Corporate Banking Fees Forex, Debt Capital Markets & Securities
8
922
1,425
80
209
315
419
169
344
Sep'17 Sep'18
Corporate IBU MSME RetailRetail Asset BreakupRetail Asset Breakup
Key Balance Sheet Growth Trends
� Corporate growth well segmented across 8 Relationship groups and lending to Higher Rated corporates.
� IBU Advances grew 162% y-o-y to USD 2.9 Bn as on Sep’18
� Healthy growth in MSME driven by focused segmentation and Knowledge Banking approach
� Retail Disbursements increased by over 66% to ` 65.0 Bn in Q2FY19 v/s Q2FY18
Mortgage Loan Group: HL, LAP, Affordable Housing
Business Equipment Loan Group: Construction Equipment, Healthcare Finance
Consumer Loan Group: Personal Loan, Gold Loan, Loan Against Shares, Business Loan
Vehicle Loan Group : Auto Loan, Commercial Vehicle, Inventory Funding
Self Help Groups & Joint Lender Group
Well Segmented Growth
68.2%
8.3%
9.2%14.3%
As % of Total AdvancesAs on 30th Sept, 2018
Corporate Banking
MediumEnterprises
Small and MicroEnterprises
Retail Banking
Robust growth attributed to Strong Performance across Segments
11%
14%
55%
19%
Incremental Growth MixGrowth
33%
162%
55%
103%
`̀̀̀ Billion
30%
11%
16%
40%
4%
MLG BELG CLG VLG SHG and JLG
9
197 226 288 283 259
390 427
444 466 493
37.2% 38.0%36.5% 35.1% 33.8%
0.0%
10.0%
20.0%
30.0%
40.0%
0
200
400
600
800
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
YoY Growth: CA: 31.6% and SA: 26.5%
CA SA CASA (%)
387 394 417460
521
24.5%22.9%
20.8% 21.5%
23.4%
10.0%
20.0%
30.0%
0
100
200
300
400
500
600
Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19
YoY Growth of Retail TD: 34.6%
Retail TD Retail TD (% of Dep)
Well-diversified Liability Franchise
Continued Momentum in Granular Deposits
` billion ` billion
Improving Operating Leverage further contributing to robust growth in granular deposits
` Million
� Increase in CASA driven by
� Expansive physical & Digital Reach
� Strong Corporate Relationships
� Better Customer Service
334 364
519
665 678
Mar'15 Mar'16 Mar'17 Mar'18 Sep'18
CASA/Branch
10
Strong Risk Management Framework
Knowledge Banking
One of the lowest NPA Ratios
Superior Structuring
ResilientAsset Quality Outcomes
Early Warning & Problem Solving
Joint Delegation & Approval Committee
Portfolio Analytics
Asset Quality Trends
� Prudent Risk Management practices: Strong
Selection process, Superior Structuring and
regular portfolio monitoring resulting in healthy
Asset Quality
� Well distributed portfolio with significant
deployment in focused knowledge sectors by
leveraging on sectoral expertise
0.41%
0.76%
1.52%1.28%
1.60%
0.12%0.29%
0.81% 0.64%0.84%
72.0%62.0%
46.9%50.0%
47.8%
0.0%
15.0%
30.0%
45.0%
60.0%
75.0%
0.0%
0.4%
0.8%
1.2%
1.6%
2.0%
Mar'15 Mar'16 Mar'17 Mar'18 Sep'18
Robust Asset Quality Maintained
GNPA NNPA PCR (RHS)
11
Well diversified portfolio with significant deployment in YES Bank focused knowledge sectors
As on 30th Sep, 2018
Sectoral Exposure Mix
12
Stable Risk Profile
Non-Renewable Electricity Generation: 1.9% (All Operational)
NIL Exposures to SEBs
Electricity
Sensitive Sector Disclosure
Overall Corporate portfolio continues to be well rated with almost 80% portfolio rated ‘A’ or better (Based on Internal Corporate rating models mapped to external ratings) and well distributed across growth sectors.
Rating Profile
Iron & Steel
2.9%
2.2%
Total A & Above
Telecom
3.0%2.8%
Total A & Above
1.5%
1.0%
Total A & Above
Gems & Jewelry
2.9% 2.3% 2.4%21.5% 18.7% 18.3%
41.0% 43.2% 42.7%
14.8% 13.5% 15.3%
19.7% 22.2% 21.3%
30-Sep-17 30-Jun-18 30-Sep-18
BB and Below BBB A AA AAA
13
Minimal impact to NCLT List 1 accounts (0.01% of Gross Advances),NCLT List 2 accounts (0.27% of Gross Advances) and RBI circular dated Feb 12, 2018
SMA 2 outstanding exposures (accounts > ` 50 Mn and as per RBI CRILC reporting at 0.15% of Gross advances
HFCs at 3.2% of which ~96% externally rated AA or better
NBFC at 2.6% of which ~90% externally rated A or better
Commercial Real Estate exposure at 5.7% of which Nil in SMA 2
Asset Quality remains Stable
S. No Particulars (%) Q2FY19 Q1FY19 Q2FY18 Remarks
1 Credit Cost (bps) 18 15 29
2.1 GNPA1.60%
(`̀̀̀ 38.7 Bn)1.31% 1.82%
Gross Slippage of `16.3 Bn which includes:
1. An account with exposure of ` 6.3 Bn classified as NPA based on post period end
review process. Bank expects prepayments and consequent upgrade in this account in
Q3FY19.
2. An account with exposure of ` 4.5 Bn was sold to an ARC during Q2FY19
2.2 NNPA0.84%
(`̀̀̀ 20.2 Bn)0.59% 1.04%
2.3 PCR 47.8% 55.3% 43.3% Bank to maintain PCR greater than 60% by March 2019
3 Net Security Receipts0.85%
(`̀̀̀ 20.5 Bn)0.82% 0.94%
1 account which was sold to ARC during the quarter, the bank had a gross
exposure of `̀̀̀ 4.5 Bn and Net SR exposure of `̀̀̀ 2.9 Bn
4Std. Restructured
Exposure
0.08%
(`̀̀̀ 2.0 Bn)0.12% 0.56%
Breakup of 0.08% (` ` ` ` 2.0 Bn) - Erstwhile fully implemented;
S4A (`̀̀̀ 1.1 Bn – 2 accounts); 5-25 (`̀̀̀ 0.9 Bn– 2 accounts); SDR (Nil) and Other
Restructure book (`̀̀̀ 0.05 Bn– 2 accounts)
TOTAL (2.2+3+4)1.77%
(`̀̀̀ 42.7 Bn)1.52%
(`̀̀̀ 32.8 Bn)2.28%
(` ` ` ` 38.0 Bn)
Disclosure on Infrastructure and Financial Services Conglomerateexposure
� Gross O/s exposure of ` 26.2 Bn; entirely ‘Standard’ as per RBI’s IRAC norms
� Nil exposure to the parent/ NBFC/ Financial Services entity� Exposures are to asset rich subsidiaries/ SPVs with enterprise
value commensurate with debt levels
More than 90% of the Top 20 individual borrower exposures are Externally rated A or better
The Bank is yet to receive the FY18 Risk Based Supervision report from the RBI
Continues to Demonstrate Resilience
14
10.9% 10.9% 10.7% 10.3% 10.1% 12.2% 13.3% 13.8% 13.2% 14.7% 13.2% 12.8% 11.9%
0
100
200
300
-
1,000
2,000
3,000
RWA (LHS) Tier I Capital (RHS)
` ` ` ` Billion
� Total Capital Funds at `̀̀̀ 512.9 Bn, up 44% Y-o-Y.
� Total CRAR at 17.0%*
� Tier I ratio of 11.9%*
� CET I ratio at 9.0%*
� Demonstrated ability to raise capital across cycles; reflectingexcellent market appetite for YES Bank capital qualifying bonds
� Raised ` 3,042 Cr of Basel III Tier II Bonds
� Raised ` 7,000 Cr in last one year through private placement of Basel III
Tier II Bonds in two tranches
� Raised ` 5,415 Cr in last one year through issue of Basel III complaint
AT I.
Stable Capital Position supported by growth through Internal Accretion
Stable capital position to enable capturing Market Share
* Including profits,
` ` ` ` Billion
QIP – US$ 750Mn.
B AT1– INR 30 Bn.
B AT1– INR 54 Bn.
Tier I Ratio
15
Branch Network Expansion – Evolving Landscapes
Coverage across all 53 Metros, 29 States and 7 Union Territories.
13 Metro/Urban and 3 dedicated RIBB regions
Hub and Spoke model for faster maturity and greater efficiency of branch network
Substantial focus on North & West Regions (DMIC/Make in India/GIB corridor) with evolving network in South & East
150 1110 1250
March 2020Sept 2018March 2010
A Clearly Articulated 2 Pronged Strategy: Metro + Urban & Semi-Urban +Rural to achieve 1250 Branches by FY20
Physical Vs. Digital
Digital Channels to Complement NOT Cannibalize Branches
Branch Target reduced to 1,250 Branches by 2020
� HUB Spoke Model
� Automation of Backend
� Data Backed Mid Office and
� Digitalization of Front End will bring in efficiencies
YES BANK will however Resize and Redefine Branches
� Smaller Formats, Lesser Manpower
Metro & Urban Strategy Semi- Urban +Rural Strategy
Emerged as the most significantly present Bank in Top 30 Deposit Centers
Maximize Branches in Top 200 Deposit Centers
SME, Digital & Specialized branches designed for catching catchments
NCR and MMR to continue as Key Growth Centers
MSME, B2B2C, Focus Segments, Liabilities driven Fee Income & Cross Sell
Key Agri Mandis/Food Parks/GOIs RURBAN Clusters
Make in India/MSME clusters and Ports/SEZs/EPZs
DMIC Influence/SMART Cities/Key NRI belts/YES Vijay
Assets led RURBAN Strategy to focus on Farmer households, Rural SMEs and Women Groups
16
YES BANK PROFILE
17
Large Bank Growth Phase (FY15-20): Strong Growth with increasing Granularity
� 4th Largest# Private Sector Bank with Total Assets in excess of `̀̀̀ 3.7 Trillion
� One of the Fastest Growing Large Bank in India;
� CAGR (FY15-18): Advances: 39%; Deposits: 30%
� Core Retail Advances grew by 122% CAGR (FY15-18); constitutes 14.3% of Total Advances (as on Sept’18)
� CASA growing at 51% CAGR (FY15-18); CASA Ratio of 33.8% of Total Deposits (as on Sept’18).
� Well segmented growth including lending to Higher Rated Customers resulting in consistently Improving Rating Profile.
� Deposits Market Share increased by 70% in 3 years to 1.7% in FY18 (1.9% as on Jun, 2018);
� Capturing Incremental Market Share at 6.9% in FY18
� Advances Market Share more than doubled in 3 years to 2.3% in FY18 (2.5% as on Jun, 2018)
� Capturing Incremental Market Share at 9.2% in FY18
1.0%1.2% 1.3%
1.7%Market Share Deposits
1.1% 1.3% 1.7% 2.3%
FY15 FY16 FY17 FY18
Market Share Advances
YES Bank Advances CAGR (FY15-18) of 39% V/s Industry CAGR of 8% resulting in Increasing Market Share
755 912 982
1,117 1,323
1,429
2,035 2,007
Advances Deposits
FY15 FY16 FY17 FY18
`̀̀̀ Billion
18
1.6% 1.7%1.8%
1.6%
19.0%19.9%
21.5%
17.7%
10.0%
14.0%
18.0%
22.0%
26.0%
0.8%
1.2%
1.6%
2.0%
FY15 FY16 FY17 FY18
Healthy Return Ratios
Return on assets Return on equity
34,878 45,667 57,973 77,371 20,465
27,121
41,568
52,238
FY15 FY16 FY17 FY18
Steady Growth in Income Streams
Net interest income Non interest income
Large Bank Growth Phase (FY15-20): Sustained Profit Delivery with Best in Class Return Ratios
20,054
25,394
33,301
42,396
FY15 FY16 FY17 FY18
Consistent Profit Delivery
`̀̀̀ Million
`̀̀̀ Million
� Amongst the most Profitable Banks
� One of the lowest C/I ratios in the Industry;
• 39.2% as on Sept’18
� CAGR (FY15-18):
� Net Interest Income: 30%
� Non Interest Income: 37%
� Net Profit: 28%
QIP – US$ 750Mn.
19
Inherent Enablers for Quality Corporate Growth
Healthy Growth Delivery continued:
� Strong growth across all Corporate Segments including IBUbook
� Lending to better Rated Corporates resulting in improvingRisk profile: A & Above rated exposure increased to 79.3%as on Sep ’18, up from 75.6% a year ago
� RWA/Total Assets improved to 81.3% from 84.3% y-o-yindicating incremental lending at lower Risk Weights
Seasoned Corporate Banker: Capturing market share with lending to Better Rated Corporates
CAGR of 41% (FY15 to FY18)
� Financing Seasoned Assets: Eg. NCLT
� Refinancing Opportunities
� New Economy Capex (Part of Knowledge Banking Sectors)
� 8 Focused Corporate Relationship Groups including IBU– Expertise across Product & Relationships & Risk – Further supported by Complete Product Suite
� Knowledge Banking Driven Solutions through Sectoral Expertise
� Size, Scale and Expertise: Ability to underwrite large commitments basis increasing SBL/GBL limits coupled with Strong Syndication Capabilities
� Technology & Services Leadership: Superior Customer Experience driven by cutting Edge Technology such as API Bank/Blockchain driving
� Favorable Competitive Dynamics
� Prudent Risk Management Practice: CRM Based Origination reducing Adverse Selection Bias coupled with Superior Structuring Capabilities
Opportunities
` Billion
489 639
896
1,237 1,425
--
60
144
209
Mar'15 Mar'16 Mar'17 Mar'18 Sep'18
Domestic Corporate Book IBU
20
MSME Financing:Banking MSME since Inception
MSME CAGR of 27% (FY15-18)Healthy Growth in MSME Advances with best in class Portfolio:
� 3 focused Relationship Groups:
� MEB (` 1,000- 5,000 Mn): CRM based acquisition through 250+ Sector Specialists Relationship Managers. Avg. Ticket Size - ~` 120 Mn+
� SEB (` 150-1,000 Mn): Sourcing through penetrating Supply chain of Anchor Corporate Relationships. Avg. Ticket Size - ~` 25 Mn+
� MIB (` 0-150 Mn): Small Ticket granular lending leveraging on branch distribution network. Avg. Ticket Size - ~` 5 Mn+
� Healthy Portfolio Quality:
� Mix of Manufactures, Traders and Vendors/Dealers of Marquee Anchor Corporates
� Cash Flow based lending with focus on obtaining preferential property of Promoter as collateral
� Stringent Valuation Methodology for Collaterals, including Valuation Report by dual Independent Agencies and an Internal Audit team to maintain range bound LTV
Opportunity:
� Acceleration in ‘New To Credit’ Customers into Formal Credit Sector due GST and Demonetization
� Policy Support for MSMEs such as Tax Incentive
� Continued focus on Sole Banking Relationships (SEB & MIB) and Primary Banking Relationships (MEB)
� Deepening entrenchment in MSME Ecosystem: Focus on Cross Sell of Trade/CMS/Forex & Investment Banking products to create hooks
� Technology & Services Differentiators: Initiatives such as GST Invoice Financing (First Bank to Launch), API Banking etc to drive acquisition. Industry First SME App for customer self-servicing
� Using Analytics basis GST filling/ Cash Flows for automated continuous Portfolio Monitoring
Road going Forward
` Billion
106 109 139 197 198
92 128
163
209 221
Mar'15 Mar'16 Mar'17 Mar'18 Sep'18
Medium Enterprise Small and Micro Enterprise
21
Retail Assets:Rolling Momentum to drive growth
Strong Growth Momentum in Retail Assets:
� Retail Assets doubled to 14.3% of Total Advances
� Contributed 17% qoq incremental growth in Q2FY19
� Diversified book across all 13 Products
� Focus on building quality Customer Franchise through
offering of entire gamut of product & services
� Lowest delinquencies
CAGR of 54% (FY15-18)
Key Enablers for Strong Momentum in Retail Assets
� Limited Players offering entire gamut of Products across Assets, Liabilities & Wealth Ecosystem
� Evolving consumer landscape through quality service on the back of Digitization, & Technology
� Established credible Long term alternate for full scale Banking Offerings in Retail Assets in Indian Banking Industry
� Experienced Leadership: Having witnessed multiple Retail cycles
� Relationship Based Sourcing: Strong Industry Associations and Tie up with Manufacturers and Dealers as preferred Financiers
� Leveraging Expansive Reach through 1,100+ branches further augmented by Digital channels
� Harnessing Technology to improve efficiency & enhance experience: 1st Bank to launch Bots for faster acquisition and 24x7 superior experience
� Quality Sourcing through Stringent Risk Controls. Further, Continuous monitoring though analytics
Opportunities
` Billion
69106 125
248
3449.1%
10.8%
9.4%
12.2%
14.3%
6.0%
9.0%
12.0%
15.0%
0
70
140
210
280
350
Mar'15 Mar'16 Mar'17 Mar'18 Sep'18
Retail Advances Retail Advances (as % of Total Adv)
22
Consumer Retail
CommercialRetail
� Healthy Traction in CV & CE book given visible improvement in Infrastructure Sector:
� Focus primarily on large fleet operators
� Tie Ups with Manufacturers (Auto) & Builders (Affordable Housing) & Associations Eg: Partnering with FADA (Federation of Automobile Dealers Associations) to train 15K Auto Retailers
� Focus on Internal Customers & Corporate Salaried
� ~70% of the Consumer Retail book is secured loans
� PL contributes ~10% of the total Retail book, where focus is on internal customers only
� Lending with strong risk mitigation controls
� Scorecard Based underwriting
Building Relationships & Credibility as - Long Term Consistent Player
Portfolio Mix
� B2B2C Strategy – Alliances with Key Manufacturers to drive sales across the entire Value Chain
� Consistent seamless execution capabilities: establishing YES Bank as Key Player in Commercial Assets Business
Acquisition Strategy Underwriting
� Cash Flow based Credit Underwriting
� Business analytics for Early Warning Signals and bounce trends
Leveraging Alliances, Relationships & Technology for Enhanced Customer Acquisition
23
Credit Cards Robust Platform for Market Leadership
Product Mix –Achieving Milestones within 2 years of Operations
� Fastest launch of Widest Range of 13 Variants across Retail/SME/Commercial within 2 years
� 1st Issuer in India on MasterCard most prestigious ‘World Elite platform’ through YES Private
� Fastest to achieve 300k Cards-in-force & `̀̀̀ 5 Bn. of outstanding book with immaculate quality
Superior Acquisition Strategy
� Trusted – Honest – Transparent communication to build credibility among Customers
� End-to-end paperless sourcing through YES Fast Track
� Bundling programmes in conjunction with Liabilities & Retail Assets
Continuous Customer Engagement
� Superior Product - Never expiring Reward Points, Best Interest rates & Lowest Forex mark up
� Focus on Digital Acquisition – Digital Engagement – Digital Self Service
� Regular interventions through Card Upgrade programs, Limit Enhancement & Spend based
offers
Building Quality Portfolio
� Healthy mix of Internal & New-to-bank customers
� Focus to build spends
� World Class Technology and Risk Management Systems to provided round the clock service –
Vision Plus & Falcon (First Data)
24
YES Bank adopts A.R.T of Digital Banking
Explore new business lines
Innovate with Frugal Technology
Be omnipresent
Identify new customers
Customer Service
Deepen Existing Relationships
Increase Operational Efficiency
Experiment with Future Technology
A.R.T makes the bank SMART by giving bank the agility to ally with like minded technological partners
25
Leader of New Age Payments
UPI
Consistently Ranked 1st in UPI Merchant payments with market share of over 40%
Over 0.3 mn merchants onboarded
80 Mn+ UPI ID
NEFT & RTGS
Market share of 3.22% by vol. & 2.75% by val. has been consistently higher than peers (as on Aug 2018).
IMPS
1st rank (as a Remitter Bank) in peer banking group by NPCI
83% YoY increase in transaction vol.
AePS
One of the leading Acquirer Bank within 6 months of launch
35 Mn.+ transactions in Q2FY19
YES BANK was Global Winner, Payments at ‘The Banker-Technology Projects Awards, 2018
26
Industry First Solution for Customers
� 1st Indian bank to offer API Banking suite for CMS and Supply Chain Finance service
� Winner across 4award categories including ‘Best Blockchain Initiative Application or Platform’ & ‘Best API Initiative, Application or Platform (Bank) for API Receivables and Payment Solution for Sub-Member Banks’at the Asian Banker Transaction Banking Awards 2018R
� India’s first app to offer single platform for multiple banking needs across Asset, Trade and Liabilities
� Industry first features:
� Bulk Payment on Mobile App
� Dedicated Salary management module
� Digital submission of Stock Statement /Insurance
� One in every 3 app registration has resulted in successful disbursement
� Industry first initiative to apply for a credit facility anytime, anywhere
� MSME can avail OD (over draft) up to `̀̀̀ 1 crore based on uploading GST returns and commercial/residential property papers
� No Physical documentation,
� In-principle offer within 24 Hours
� 1st Bank to offer 1st Bank to offer paperless import & export online
� 800+ Corporates on the trade on net platform.
� Transaction volume on SMART TRADE platform has increased by over 2.5x YoY
� Adjudged ‘Best Trade Finance Bank in India’ at the Asian Banker Transaction Banking Awards 2018
27
First chatbot enabled walletBHIM YES PAY app ispowered with India Stack API’s and NPCI products, enabling services like BBPS, Bharat QR, RuPay card, IMPS, UPI and Aadhaar KYCRated 4.1 on Play Store
Banking as a
Service
YES
Mobile
YES
Money
SimSePayBHIM Yes
Pay
Tab
Banking
Mobility driven Solutions for Anywhere Banking
Mobile app registrations have increased 2x YoYTransactions increased 2x by vol. and 2.5x by val. YoY
Monthly financial trx. volume crossed 1 Mn in August’18
First & one of the largest domestic remittance platformOver 2.75 lakh BC agents employed
India’s first artificial intelligence enabled banking botOver 33 lakh interactions processed since launch
1 in 3 NRI customers sourced digitally
28
YES Bank’s Debt Ratings Journey
International Rating Long-term Outlook Short-term
Moody's Investors Service Baa3 Stable Prime-3
Domestic Rating Long-term Outlook Short-term
Basel III AT1 Tier II Infra Bonds
CARE AA+ AAA AAA Under Review
ICRA AA AA+ AA+ Stable A1+
India Ratings AA AA+ Stable
Rating Upgrade ICRA & CARELT II:AA- , UT II:A+, CD:A1+ (Highest Grade)
Rating Upgrade ICRA & CARELT II:AA, UT II:AA-
Received maiden International Investment Grade Baa3 long term rating from MOODY’S Investor Services
Rating Upgrade: ICRA & CAREBasel III Tier II: AA+, INFRA BONDS:AA+
FY07 FY11
FY10 FY14
Basel III AT1 rating of AA from CARE, India Ratings and ICRA
Rating upgrade of maiden AT1 issuance under Basel regime by ICRA
FY17 Rating Upgrade: CAREUpgraded to highest AAA rating for Basel III Tier II & Infra BondsUpgraded to AA+ for ATI perpetual bonds, highest across all Banks
Re-iteration of Rating by Moody’s at Baa3 and ICRA at AA+
FY19
Ratings reflect a sustainable growth oriented financial model with robust Risk Management Policies
29
Successful Long Term Loan Syndications
Commitment from Leading Global Financial Institutions
USD 415 Mn for 12 yrsTo increase lending to MSME and Women owned business
USD 325 Mn for 9 yrs (avg)Upper Tier II, Long Term Senior Loan, Green Bond issue & to lend to women-owned business
USD 50 Mn for 7 yrsGreen infra Bonds- FMO’s 1st investment in a Green Bond by a bank in India
5 year loan from Taiwan : USD 250 Mio
Participation from 17 banks in Taiwan, Nov ‘17
5 year loan from Taiwan : USD 130 Mio
Participation from 10 Taiwanese banks, Sept ‘16
Maiden Samurai loan of JPY 16.5 Bln
Syndication led by
Participation from 8 banks, Sept 2017
3 year syndicated loan of USD 300 Mio led by
Participation from 8 banks
USD 200 Mn for 7 yrsLending to Women SHGs & Small Farmers and Technical Assistance Grant for Capacity Building
USD 200 Mn for 15 yrsFinancing agreement for Renewable Energy Projects in India
USD 30 Mn for 8 yrsGreen Loan by Development Bank of Australia
USD 84 Mn (granted in 2009, 2014 & 2017)Long term Senior Loan by KfW BankengruppeDevelopment Financial Institution
EUR 13.25 Mn for 10 yrsUpper Tier II loan by An AfD Group Development Financial Institution
3 year Syndicated Loan of USD 400 Mio
Participation from 12 banks, July 2018
� Progressively broader markets, higher number of participants with longer tenor and improved pricing
30
Creating Mindshare For YES BRAND
ADVERTISING & SPONSORSHIP
� Partnering with large format events
� Strategic brand advertisement of the Bank & its ‘products across multiple mediums
DIGITAL & SOCIAL MEDIA MARKETING
� Robust Customer acquisition through Digital Channels
� Active online reputation management
CUSTOMER & COMMUNITY ENGAGEMENT
� 12000+ YES Community Events each year in catchment areas
� Product marketing� Partnership & Alliances
KNOWLEDGE BANKING
� Knowledge events� CFO Forum� Publications & Newsletters� Advisory to Trade Associations
Broadening Customer MINDSHARE Building MARKETSHARE
31
FACILITATING SUSTAINABLE FINANCETRANSPARENCY & ACCOUNTABILITY
POLICY ADVOCACY THROUGH THOUGHT LEADERSHIP
Knowledge Reports - Climate change and sustainable development
Thought leadership in partnership with academia, multilaterals, think tanks, regulators and governments
Policy advocacy as a catalyst within financial sector
POSITIVE IMPACT CSR & SUSTAINABLE DEVELOPMENT
Livelihood and Water Security
Employability and Entrepreneurship
Environment sustainability
Media for social change
Social Value Creation
Triple Bottom Line accounting and reporting
Enhanced climate disclosures
Environmental, Social and Governance (ESG) disclosures
Green House Gas (GHG) accounting and Portfolio mapping
Environment Management Systems (ISO 14001) implementation and certification
Mainstreaming green products and practices
Innovative financing and modelling
Environment and social risks management
Climate finance literacy
Sustainable & Responsible Banking Leadership
32
Sustainable & Responsible Banking Leadership
Committed to mobilizing USD 5 billion towards climate action by 2020 in December 2015
Committed to mobilize USD 1 billion by 2023 towards solar projects, and USD 5 billion till 2030 in January 2018
First Indian Bank to launch Green Bonds in 2015
Private placement by IFC for Green Masala Bonds in 2015
Issued Green Infra Bonds with FMO in 2016
First Bank Globally to migrate to ISO 14001:2015; 744 locations certified
First & only Indian Banking signatory to Natural Capital Finance Alliance (NCFA) & Chair of Steering Committee
VISION: Be the Benchmark Financial Institution for Inclusivity and Sustainability
Environmental Social Governance
First & only Indian Bank to be listed on DJSI Emerging Markets for 4 years consecutively (2015-2018)
Selected in prestigious FTSE4Good Emerging Index for two consecutive years (2017,2018)
Selected in MSCI ACWI ESG Leaders & SRI Indexes in 2017
Included in Vigeo Eiris Best Emerging Markets Performers Ranking (2018)
Only Indian Bank to be awarded ‘Prime’ Status by OEKOM Research Ag
First Indian Banking Signatory to UNEP Finance Initiative
First Indian Bank to launch Green Bond Impact Report
First Indian Bank to Support Task Force on Climate Related Financial Disclosure
Launched India’s 1st Green Retail Liability Product in 2018, Green Future Deposits
Sole arranger & subscriber to India’s First Social Bond, with proceeds allocated to Affordable Housing
Reached 2.1 million families at the bottom-of-the-pyramid through Inclusive & Social Banking
Provided access to 40 million+ lives with safe & clean drinking water in 2017-18
Provided OHS & Energy Efficiency training to 28, 454 workers, and helped 18,544 MSMEs eliminate an estimated 13, 500 tons of CO2e in 2017-18
33
Progress Widely Recognized By Leading Agencies
Transaction Bank
of the Year - APAC
Supply Chain Finance - Global Winner
The Banker-Transaction Banking
Awards 2017
Sibos, Toronto
Sustainability & CSR Excellence
Institutional Excellence
Technology, Innovation & Service
Included in
MSCI ACWI ESG Leaders Index and MSCI ACWI SRI
Index
2017
MSCI ESG
Best Innovation & Sustainable
Financial Products & Services
Karlsruhe Sustainable Finance Awards, Germany, 2017
Asia’s Best Bank
For Corporate
Social
Responsibility
EuromoneyExcellence Awards Hong Kong, 2016
India’s Best Bank
For Corporate
Social
Responsibility
Asiamoney Excellence Awards
Hong Kong - 2017
Best Trade Finance Bank in India - 2018, 2017, 2016, 2015
Best Financial Supply Chain, 2018, 2017
Best Corporate Payments Project in India, 2018, 2016
Best Corporate Trade Finance Deal in India, 2018, 2015
Best API Initiative, Application or Platform (Bank), 2018
Best Blockchain Initiative, Application or Programme, 2018
Best Productivity, Efficiency & Automation Initiative, Application or Programme, 2018
Asian Banker Transaction Banking Awards 2018
Beijing
APAC Leader in Digital Transformation
IDC Financial Insights Innovation Awards
(FIIA)
Singapore
2018
Global winner
Payments Technology
Project Awards
London, 2018
Fastest Growing Mid-sized Bank
BT- KPMG India’s Best Banks
Mumbai, 2018
Bank of the Year India, 2017, 2015
The Banker
London
Best Bank in India for SMEs
AsiamoneyCountry Awards
Hong Kong, 2018
Ranked #1,013 Global 2000Ranked #155 Growth
ChampionsForbes Global 2000 World’s Largest Public Companies
June 2018
FORBES
GLOBAL 2000
Instant Payment Products
(UPI+IMPS+BHIM+USSD)
National Payments Excellence Awards
(NPCI) 2017
� SME Bank of the Year - India
� India Domestic Trade Finance Bank of the Year
Bali, 2018
Asian Banking
& Finance
Wholesale Banking
Awards 2018
First & only Indian bank to be selected for the
fourth consecutive year
DJSI Emerging Markets
Index
New York, 2018
Dow Jones
Sustainability Indices
34
Human Capital Management
HCM Strategy
Making YES BANK a Great Place to Work Flat Organization Structure (5 levels)
� `First and only Bank to partner with “Kaizala Full Digital ONLY – Customer & Colleagues self-service channel”, powered by Microsoft. Leadership Training Initiatives by YES School of Banking
University & Schools Relationship Management‘Preferred Employer of Choice’
� YES League of Excellence – an online Recognition,Appreciation & Engagement platform
� Structured engagement with over 2000 B-Schools
� Competitive C&B to attract, motivate and retain talent
� ‘Professional Entrepreneurship’ Culture based on valuesto sustain competence, collaboration and compliance.
� Robust & Diversified Talent Acquisition
� World class HCM Service Delivery & Process
� Initiatives to continuously enhance organizational andindividual productivity/effectiveness/cost management.
� Total Headcount of 21,024
� Average Age – 32 years
� Average vintage in YES BANK: 8.3 yrs for Top Management
& 6.3 years for Sr. Management
� Wealth creation through ESOPs
� Talent acquisition from Peer Private Sector & MNC Banks
� Building a ‘Leadership Supply Chain’
� Ranked no 2. in Dream Companies to Work For by Times
Ascent
*As of Sep 30, 2018 and as per revised segmentation
Top
Senior
Middle
Junior
General 28
32
42
37
46
Average Age
11,179
343
3,805
104
5,593
35
Distinguished Board
Mr. Rana Kapoor
MD & CEO
Mr. Subhash Kalia
Non – Executive Non- Independent Director
Mr. RentalaChandrashekhar
Independent Director
Mr. Vasant Gujrathi
Independent Director
Lt Gen (Dr.) MukeshSabharwal (Retd.)
Independent Director
Mr. Ashok Chawla
Non-Executive Independent Chairman
Mr. Brahm Dutt
Independent Director
Former Lt General in Indian ArmyFormer Chairman of Competition Commission of India and former Finance Secretary, GoI
Former Secretary, Ministry of Road Transport and Highways, GOI
Mr. Ajai Kumar
Non - Executive Non- Independent Director
Former Executive Director of Union Bank of India and Vijaya Bank
Former Partner – PwC Ex-CMD of Corporation Bank and a veteran Banker
Dr. Pratima Sheorey
Independent Director
Promoter/ Professional Entrepreneur/ Banker (37+ Years)
Secretary to the Government of India for Electronics and ITChairman & Secretary of the Telecom Commission of IndiaPast President of NASSCOM
Director of Symbiosis Centre for Management and Human Resource Development (SCMHRD)
9 eminent personalities as Directors with varied backgrounds, pioneers in respective fields
Well structured performance evaluation process for its Directors including MD & CEO
12 Board level Committees with specialized functions including Risk Monitoring Committee, Corporate Social Responsibility Committee, Audit Committee and Nomination & Remuneration Committee
Best Corporate Governance and Transparency
Majority of Board constituted by Independent Directors
Pedigree Board ensuring transparency and highest standards of Corporate Governance
36
ANNEXURE
37
Key Financial Parameters
* Including profits
Profit & Loss
` ` ` ` Million Q2FY19 Q2FY18Growth %
Q1FY19Growth %
(y-o-y) (q-o-q)
Net Interest Income 24,176 18,851 28.2% 22,191 8.9%
Non Interest Income 14,735 12,484 18.0% 16,941 -13.0%
Total Net Income 38,910 31,335 24.2% 39,133 -0.6%
Operating Expense 15,246 12,269 24.3% 14,586 4.5%
Operating Profit 23,664 19,067 24.1% 24,547 -3.6%
Provisions & Contingencies 9,400 4,471 110.3% 6,257 50.2%
Profit After Tax 9,647 10,027 -3.8% 12,604 -23.5%
Balance Sheet
` ` ` ` Million 30-Sep-18 30-Sep-17Growth
30-Jun-18Growth
Y-o-Y Q-o-Q
Assets 3,716,472 2,373,941 56.6% 3,325,493 11.8%
Advances 2,396,275 1,486,753 61.2% 2,147,201 11.6%
Investments 903,202 539,078 67.5% 829,532 8.9%
Liabilities 3,716,472 2,373,941 56.6% 3,325,493 11.8%
Shareholders’ Funds 273,310 234,142 16.7% 263,139 3.9%
Total Capital Funds* 512,923 356,903 43.7% 469,837 9.2%
Borrowings 1,016,595 448,300 126.8% 787,902 29.0%
Deposits 2,228,379 1,579,898 41.0% 2,133,945 4.4%
CASA 752,791 587,246 28.2% 749,300 0.5%
No representation or warranty, express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions
contained herein. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historical information
or facts and may be “forward looking statements”, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects,
and future developments in its industry and its competitive and regulatory environment. Actual results may differ materially from these forward-looking statements due to a number of
factors, including future changes or developments in the Company’s business, its competitive environment and political, economic, legal and social conditions in India. This
communication is for general information purpose only, without regard to specific objectives, financial situations and needs of any particular person. This presentation does not
constitute an offer or invitation to purchase or subscribe for any shares in the Company and neither any part of it shall form the basis of or be relied upon in connection with any
contract or commitment whatsoever. The Company may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of
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